The won-dollar exchange rate is trading in the 1470 won range.
On July 28, in the Seoul foreign exchange market, the exchange rate for the won against the U.S. dollar is 1470.5 won. The rate at 6 a.m. was 1465.2 won, down 3.3 won from the previous trading day.
This increase is interpreted as a reflection of heightened risk aversion. The dollar index, which measures the value of the dollar against six major currencies, rose by 0.037% to 101.51.
Overnight, the New York stock market showed mixed results. The Dow Jones Industrial Average closed up 262.83 points (0.51%) at 52,210.08.
The Standard & Poor's (S&P) 500 index rose by 1.20 points (0.02%) to close at 7,413.18, while the Nasdaq Composite index fell by 43.74 points (-0.18%) to finish at 24,932.08.
International oil prices fell sharply. Brent crude for September delivery dropped 8.70% to $88.36 per barrel. September futures for West Texas Intermediate (WTI) also plummeted 7.50% to $82.61 per barrel.
The exchange rate is expected to face upward pressure. Min Kyung-won, an economist at Woori Bank, stated, "Given the risk aversion stemming from the decline in tech stocks and the strong dollar pressure, we anticipate an increase centered around the high 1460 won range. If the selling trend continues today, following the previous day's significant foreign selling in the domestic market, there is a concern that the dollar buying pressure in the form of custody purchases may intensify during the adjustment process."
* This article has been translated by AI.
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